Business Environment in Nepal Syllabus - BBA (PU)

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Course Description

Course Objectives

The course aims to provide students with a sound understanding of environmental forces affecting business operations and to develop their ability to analyze such environmental forces in the Nepalese context. The focus of the course is therefore to review the major environmental forces and analyze their dynamics applicable to Nepalese business.

Course Description:

The course covers the relevant political, economic, legal, socio-cultural, and technological environmental aspects of Nepal and their effects on Nepalese business.  In addition, it covers the regional and global environmental factors influencing Nepalese business scenario.

Course Outcomes

After studying this course, students should be able to:

  • analyze and identify the opportunities, limitations, and constraints of business;
  • pinpoint the changes in the environment and the impact on Nepalese businesses.

Course Outcomes

Upon completion of this course, students should have a clear and candid view of Nepalese business environment.  They should be in a position to. They should also be able to

Unit Contents

Course Contents

Unit I: Concept of Business Environment                                                                4 hours

Concept and framework of business environment; Components of business environment; Environmental scanning/analysis – concept and methods; Use of environmental analysis in strategic management.

Unit II: Economic Environment                                                                                4 hours

Economic dimensions of an economy – economic, socio-economic, and industrial dimension; Analysis of these dimensions and their impact on business; An overview of the latest economic development plan - its objectives and strategies; Indicators of analyzing economic environment.

Unit III: Economic Policies and Reforms                                                                 8 hours

Privatization - meaning of privatization, methods of privatization; Privatization policy and practices in Nepal; Industrial Policy - concept and objectives of industrial policy in Nepal; Trade Policy - concept and objectives of trade policy; Labour and Employment Policy - concept and objectives of labour and employment policy; Tourism Policy – concept and objectives of tourism policy in Nepal; Current monetary policy in Nepal; Liberalization of the Nepalese economy and its effects on the financial and capital market sectors; Effects of liberalization – emerging business environment in Nepal.

Unit IV: Agriculture, Trade and Industrial Sectors: Performance and Issues   5 hours

Nepal's agriculture sector – performance and issues; Nepal’s industrial sector – export-oriented and import substituting industries, service sector; Industrial sector - performance and constraints; The role of industry in the changing scenario; Nepal’s foreign trade – structure and related issues.

Unit V: Political Environment                                                                                  5 hours

Significance of political environment for business; Nepalese political system and its important players (political parties); Government and constitutional bodies; Role of government in business; Basic issues in business-government relations; Risk assessment of political environment particularly with reference to business sector; Issues in Nepalese political environment.

Unit VI: Regulatory Environment                                                                            7 hours

Concept; Private Firm `Registration Act; Partnership Act; Companies Act; Industrial Enterprise Act; Foreign Investment Act; Labor Act; Trade Union Act; Mines and Minerals Act; Intellectual property - Patent, Design, Copyright and Trade Mark Act; Consumer Protection Act and regulations.

Unit VII: Socio-Cultural Environment                                                                     4 hours

Socio-cultural environment and its significance for business; Determinants of socio-cultural, environment - religion, language, education, family structure and social organizations; An analysis of how socio-cultural environment affects the Nepalese business; Emerging socio-cultural changes in Nepal.

Unit VII: Environment, Energy and Technology                                                     5 hours

Business and technology; Human factors and technology; Present level of technology adopted by the Nepalese business; Technology transfer issues; IT policy of Nepal; Impact of technological environment on the efficiency and competitiveness of Nepalese business; Energy situation in Nepal; Natural environment and energy management issues in Nepal.

Unit VIII: Global Environment                                                                                 6 hours

Concept of globalization; Nature and types of globalization; Regional economic groupings of nations - SAPTA, SAFTA, and BIMSTEC - their impacts on the Nepalese business; Foreign Direct Investment in Nepal; World Trade Organization (WTO) – Nepal's membership - opportunities and threats for the Nepalese business.

Text and Reference Books

Basic Texts

  1. Pant, P. R. Fundamentals of Business Environment in Nepal. Buddha Academic Enterprises, Kathmandu.
  2. Agrawal, G. R. Dynamics of Business Environment in Nepal. M. K. Publishers, Kathmandu.


  1. Aswasthappa, K. (Latest Edition). Business Environment for Strategic Management. Himalaya Publishing House, Mumbai.
  2. Wetherly, P. and Dorron, O. The Business Environment: Themes and Issues. Oxford University Press, New Delhi.
  3. Ghosh, B. N. Business Environment. Oxford University Press, New Delhi
  4. Paul, J. Business Environment: Text and Cases. Tata McGraw Hill, New Delhi.
Download Syllabus
  • Short Name N/A
  • Course code MGT 411
  • Semester Seventh Semester
  • Full Marks 100
  • Pass Marks 45
  • Credit 3 hrs
  • Elective/Compulsary Compulsary